The Rupee opened weaker on Tuesday, bogged down by the softness in Asian peers and U.S. President Donald Trump's tariff warning to countries doing business with Iran. On Monday, Trump saud countries that do business with Iran would be hit with a 25% tariff on U.S. trade, with Washington assessing its response to widespread protests in Iran. Top export destinations for Iranian goods include India and China. There was no official documentation of the policy on the White House website, neither is there any information on whether it is aimed at all of Iran's trading partners. India is already grappling with 50% U.S. tariff - among the steepest, a backdrop that has contributed to persistent pressure on the rupee. The rupee is down about 0.3% so far this month, adding to 2025's nearly 5% decline, with traders saying that losses would likely have been larger if not for support from the Reserve Bank of India. The rupee hit an all-time low of 91.0750 last month, before recovering on the back of RBI intervention. The currency's Asian peers were mostly down on the day, with traders assessing the fallout of a criminal probe into Federal Reserve Chair Jerome Powell, a move analysts said threatens the central bank's independence and faith in U.S. assets. The dollar held to its losses on Tuesday after the Trump administration opened a criminal investigation into Federal Reserve Chair Jerome Powell, a move that threatens the central bank's independence and faith in U.S. assets. The market reaction has been to sell the dollar and U.S. Treasuries, while the unease also prompted some investors to seek safety in gold. However, the selloff was much more measured than the one that followed Trump's sweeping tariffs last April. The euro was steady at $1.1663 in early Asia trade, having risen as much as 0.5% in the previous session, while sterling was similarly little changed at $1.3463, holding to Monday's 0.47% gain. The Swiss franc drew additional safety bids and was a touch stronger at 0.7974 per dollar, while the dollar index was last at 98.92, having clocked its worst day in three weeks in the previous session. U.S. Treasury yields eased slightly on Tuesday from the previous session's gains, with the benchmark 10-year yield last at 4.1713%. The two-year yield held near Monday's three-week high and stood at 3.5323%. The yen sank to a one-year low of 158.285 per dollar, with Japanese government bonds (JGBs) similarly under selling pressure. Oil prices edged higher on Tuesday, as heightened concerns surrounding Iran and potential supply disruptions outweighed the prospect of increased crude supply from Venezuela. Brent futures gained 28 cents, or 0.4% to $64.15 a barrel by 0101 GMT, hovering near a two-month high struck in the previous session.......
The US dollar weakened sharply against other major currencies after data showed that the US economy suffered a record contraction in Apr-Jun, while jobless claims rose in the week ended Saturday also rose.The US unit also extended its decline globally on Thursday after Trump raised the possibility of delaying presidential election in the US, scheduled for November.European Stocks ended lower on Thursday due to mounting concern over sluggish economic recovery and a possible second wave of the COVID-19 pandemic.Germany reported its worst decline in GDP since 1970, with the Eurozone’s largest economy shrinking 10.1% quarter-on-quarter in Apr-Jun.Corporate earnings were high on investors' agenda on Thursday.In the US, Most share indices ended lower on Wednesday following bleak economic data.Lack of progress in talks between Congressional Democrats, Republicans and the White House on a new coronavirus aid package also weighed on sentiment.Gold futures settled lower on Thursday after nine consecutive days of gains, with the bullion retreating from a record rally as traders booked some profit.......